Sections 14A and 15 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
An organisation that no longer wants to receive foreign contribution can ask to surrender its certificate. Section 14A, inserted in 2020, sets the conditions. Section 15 then says what happens to the foreign contribution and the assets created out of it: they vest in a prescribed authority, which may manage the activities and, in the case of a cancelled certificate, return the property if the person is registered again.
This article reads these sections as per the Act as enacted, read with the Foreign Contribution (Regulation) Amendment Act, 2020 (33 of 2020): section 14A from paragraph 9, and section 15 as widened by paragraph 10. Later amendments should be checked.
On a request, the Central Government may permit a person to surrender the certificate if, after inquiry, it is satisfied that the person has not contravened the Act and that the management of foreign contribution and assets created out of it has been vested in the authority under section 15(1). Under section 15(1), the foreign contribution and those assets of a person whose certificate is cancelled or surrendered vest in such authority as may be prescribed.
Section 14A: surrender of certificate
Paragraph 9 of the Amendment Act, 2020 inserted section 14A after section 14:
"14A. On a request being made in this behalf, the Central Government may permit any person to surrender the certificate granted under this Act, if, after making such inquiry as it deems fit, it is satisfied that such person has not contravened any of the provisions of this Act, and the management of foreign contribution and asset, if any, created out of such contribution has been vested in the authority as provided in sub-section (1) of section 15."
If surrender is under consideration for your organisation, a short legal consultation can help you work out whether the conditions are met. The section has four working parts.
- A request. Surrender starts with a request "being made in this behalf" by the holder. The manner of the request is a matter for the Rules: rules 15 and 15A and Form FC-7 deal with it, as explained in the article on rules 15 and 15A. This article does not state what they say.
- Permission is discretionary. The Government "may permit"; the holder has no right to surrender on request.
- Inquiry and satisfaction. After such inquiry as it deems fit, the Government must be satisfied that the person "has not contravened any of the provisions of this Act". A holder with a history of breach is therefore not within the section on its words.
- Vesting. It must also be satisfied that "the management of foreign contribution and asset, if any, created out of such contribution has been vested in the authority" under section 15(1).
Compare cancellation under section 14, which is imposed on a holder on grounds listed there, after a hearing, and carries a three-year bar on fresh registration or prior permission; see the article on section 14. Section 14A is the holder's own request and has no such bar in its text. The section does not state what happens to a request the Government does not accept.
Section 15: management of foreign contribution
What the 2020 Amendment Act changed
| As enacted | After the 2020 Amendment Act |
|---|---|
| Heading: "Management of foreign contribution of person whose certificate has been cancelled" | Heading: the words "or surrendered" are inserted after "cancelled" |
| Sub-section (1): foreign contribution and assets of every person whose certificate "has been cancelled under section 14" vest in such authority as may be prescribed | Sub-section (1): after "section 14" the words "or surrendered under section 14A" are inserted |
| Sub-sections (2) and (3) | Unchanged in the Amendment Act |
So the section now covers a certificate surrendered under section 14A as well as a certificate cancelled under section 14.
Section 15(1): vesting
The foreign contribution and the assets created out of the foreign contribution in the custody of every person whose certificate has been cancelled under section 14 or surrendered under section 14A "shall vest in such authority as may be prescribed". "Prescribed authority" is defined in section 2(1)(p) as an authority specified as such by rules made by the Central Government; the name is not described in this article. See the article on the definitions in section 2.
Section 15(2): management
The authority "may, if it considers necessary and in public interest, manage the activities of the person referred to in that sub-section for such period and in such manner, as the Central Government may direct". It may also "utilise the foreign contribution or dispose of the assets created out of it in case adequate funds are not available for running such activity". So vesting is not necessarily the end of the organisation's work: the authority may keep the activities going, for a period and in a manner the Central Government directs, using the foreign contribution and, if funds are short, disposing of assets.
Section 15(3): return
The authority "shall return the foreign contribution and the assets vested upon it under that sub-section to the person referred to in the said sub-section if such person is subsequently registered under this Act". The word "shall" is mandatory once the condition (subsequent registration) is met. For a cancelled certificate, the person is ineligible for registration for three years under section 14(3), so the earliest return is after that period and a fresh registration.
Example (invented). Navjyoti Educational Trust has completed its foreign-funded project and requests surrender of its certificate. The Central Government inquires, is satisfied that the trust has not contravened the Act, and is satisfied that the management of the remaining foreign contribution and the assets created from it has been vested in the authority under section 15(1). It may then permit surrender. Under section 15(2) the authority may manage the project's activities for the period the Government directs. If the trust is later registered again, section 15(3) requires the authority to return what vested in it.
Related provisions
Section 22 deals with the disposal of assets created out of foreign contribution where a person who was permitted to accept foreign contribution ceases to exist or has become defunct; see the article on sections 21 and 22. The conditions for the later re-registration are in section 12; see the article on section 12.
Need help with surrender or vesting?
Surrender touches the organisation's accounts, assets and future registrations at once. Before a request is made, talk to our legal consultation team so that the records, the asset list and the accounts are ready for the inquiry.
Key takeaways
- Section 14A (2020) allows the Central Government to permit a certificate to be surrendered on request, after inquiry.
- The Government must be satisfied that the person has not contravened the Act and that management of foreign contribution and assets has been vested under section 15(1).
- Section 15 now covers certificates cancelled under section 14 or surrendered under section 14A.
- Vesting is in such authority as may be prescribed; the authority may manage activities and must return the property if the person is later registered.
- Cancellation carries a three-year bar; the text of section 14A has no such bar.
Read next
- Section 14: cancellation of certificate
- Section 16: renewal of certificate
- Sections 21 and 22: candidates and disposal of assets
- Rules 15 and 15A: custody after cancellation and voluntary surrender
Disclaimer: Based on the Foreign Contribution (Regulation) Act, 2010 as enacted, read with the Amendment Act, 2020 and the other amendments named in this article, and on the Foreign Contribution (Regulation) Rules, 2011 as amended by the notifications named (latest consulted: S.O. 3272(E) dated 22 June 2026), as consulted on 2 October 2026. No consolidated official text was available; some provisions rest on a third-party copy and are identified as such. Later amendments, notifications and Ministry of Home Affairs orders should be checked. This article is general information, not legal advice; check the official text before acting.